GRAINS-Corn and soybeans at multi-month highs after USDA cuts supply estimates

CANBERRA, Jan 13 (Reuters) - Chicago corn and soybean futures rose on Monday to multi-month highs after the U.S. government on Friday said production of both crops last year was lower than previously thought and cut its estimate for end-of-season U.S. stocks.

Wheat futures also rose slightly but prices remained near four-year lows amid weak demand and a strong U.S. dollar, which has made U.S. crops less competitive on the global market.

FUNDAMENTALS

* The most-active corn contract on the Chicago Board of Trade (CBOT) Cv1 was up 0.3% at $4.72 a bushel at 0138 GMT after rising 3.2% on Friday following the U.S. Department of Agriculture report. Prices are at the highest since May.

* CBOT soybeans Sv1 climbed 0.4% to $10.29-1/4 a bushel after rising 2.6% on Friday, and are at their highest since November.

* Wheat Wv1 was up 0.5% at $5.33-1/4 a bushel.

* The USDA said U.S. farmers harvested 14.867 billion bushels of corn in 2024, down from its previous estimate of 15.143 billion and below analysts expectations.

* It cut its estimate of U.S. soybean production in 2024 to 4.366 billion bushels from 4.461 billion, also well below what the market had predicted.

* The USDA reduced its forecast for 2024-25 season U.S. corn ending stocks to 1.54 billion bushels from 1.738 billion and for U.S. soy ending stocks to 380 million bushels from 470 million, implying tighter supply.

* Speculators have turned bullish on CBOT corn but are cautious about soybean prices because they expect massive harvests in South America in the coming months.

* Brazilian agribusiness consultancies shared contrasting views on the country's 2024/25 soybean crop, with Safras & Mercado hiking its forecast to 173.71 million tons from 171.78 million tons and Patria AgroNegocios trimming its projection to 167.94 million tons from 170.41 million.

* Both predictions still imply that Brazil will produce around 20 million tons more soybeans this year than during the 2023/24 season.

* The U.S. dollar remains a headwind to CBOT prices. The greenback on Friday rose to its strongest against a basket of major currencies since November 2022. .DXY FRX/

MARKETS NEWS

* Asian shares slipped on Monday while the dollar held near 14-month peaks after an unambiguously strong U.S. payrolls report shoved up bond yields and tested lofty equity valuations just as the earnings season gets under way. MKTS/GLOB

(Reporting by Peter Hobson; Editing by Sonia Cheema)

((peter.hobson@thomsonreuters.com;))